One of the more perplexing issues in business ownership is that as business sales decrease, cash flow gets better (in the short term) because you put out less money now as the AR is collected from previous robust sales.
However, as times get better and sales increase; labor and materials need to be paid for now, accounts receivables balloon and a new cash crunch begin. In this situation, Invoice Factoring or the Factoring of your Accounts Receivable can help.
Accounts receivable financing through invoice factoring allows you to convert your existing invoices into cash in 24 hours. Your receivables instantly become liquid and much-needed working capital starts flowing into your business. This type of working capital financing can help you achieve your short-term and long-term goals.
Remember, if you provide goods or services to creditworthy customers, and we can verify that the invoices being considered for factoring are accurate, we can fund quickly and at aggressive rates. We base our approval decision on the creditworthiness of your customer and NOT on the financial strength of your business… It is that simple.
Another plus is he has access to a full range of credit resources and databases, which we can use to establish reasonable credit levels for your customers. We’ll even assume credit risk, protecting your company from losses due to a customer’s bankruptcy. Also, we are your Credit Manager! We love pre-approving client’s for you before you get the order. Let us help you target creditworthy clients.